hedging_recommend
Compare protective puts, collars, and inverse hedges to rank cost-effective hedges for a given position.
Instructions
Rank cheapest effective hedges for a given position. Compares protective puts, collars, inverse hedges.
Use when agents need to hedge an existing position. Provide position_type (long_stock/short_stock/long_crypto/long_options), position_value, asset_price, volatility, time_horizon_days, max_hedge_cost_pct. Returns: ranked hedges (protective put, collar, futures short, partial hedge) each with cost, protection level, affordability flag, and max loss after hedge. PAID ONLY — no free tier.
Input Schema
| Name | Required | Description | Default |
|---|---|---|---|
| r | No | Risk-free rate | |
| volatility | Yes | Annualized volatility | |
| asset_price | Yes | Current spot price | |
| position_type | Yes | long_stock | short_stock | long_crypto | long_options | |
| position_value | Yes | Current dollar value of position | |
| time_horizon_days | No | Hedge time horizon in days | |
| max_hedge_cost_pct | No | Max hedge cost as fraction of position (0.05 = 5%) |